It’s no secret that big corporations are planting the seed for the next generation of payment processing solutions. It’s a big industry to tackle. If you consider the fact that coins ruled for thousands of years. And paper currency for about a hundred years. Plastic credit cards have held firm for a few decades. The next generation will be even more secure and easy to use.
Right now there is a lot of talk about bitcoin. I personally like the concept of cryptocurrency, but the adoption rate is low and it will take a strong tech giant, or a partnership of these giant tech companies to execute the infrastructure and protocol. It’s too fragmented and only the tech savvy are playing around with this type of currency.
So, what will the future hold? Theres only really 3 players in this game. The three companies that can build and execute on the next generation mobile payments are Apple, Google, and Amazon.
Google already tried and failed with Google wallet. But Google is a trusted brand with deep multi device OS penetration. People trust Google. People already know how to use Google services. It’s just a matter of people getting onboard.
Amazon and Apple are two companies that hold the most credit card info of consumers. This gives these two companies a big head start. Both have a lot of money to execute.
If I was a betting man, I’d put all of my money on Apple. Here’s why.
1. Apple already does payment transaction on iTunes.
2. Apple is a trusted brand when it comes to security and consumer experience.
3. The integration of the fingerprint scanner on the iPhone was a big hit. It created a perception of security and it’s the best case example of user experience.
4. Recent iBeacon tech can possible payment processing and ease of use to the next level. Hardware to setup iBeacon payment stations are cheap and will be widely available in the near future.
Can you imagine visiting a coffee shop or a department store and just selecting your purchase and putting your finger on your phone to complete the transaction? How awesome is that? No need to carry a wallet. We already have our phones with us at all times. It’s secure and simple.
Note. I left out Paypal or Square out of this because in the big picture, they will merely be vendors or partners in this equation. Going into your phone and launching the Paypal app is already too much work for the future. I feel that the feature will need to happen at the root level. This gives a big advantage for Apple and Google.
Sean Lee out.